PA State Aviation Taxes

Courtesy of National Business Aviation Association

Sales and Use Tax
Tax Rate

Rate

Reference

6.00% (plus local tax in some jurisdictions) See Note 1

61 Pa. Code 31.2

Exemption for helicopters

Tax Reform Code of 1971, Section 204(68)

 

Exemptions

Exemption

Available?

Reference

Fly-Away

No 2

61 Pa. Code 32.5

Purchase for Resale (Inventory)

Yes 3

61 Pa. Code 31.3(1); 61 Pa. Code 32.3(a)

Purchase for Resale (Lease)

Yes

61 Pa. Code 31.4(b)

Commercial Operations

Limited 4

61 Pa. Code 32.34(a); 61 Pa. Code 58.8(f)

Casual/Occasional/Isolated Sale

No

61 Pa. Code 31.3(2); 61 Pa. Code 32.4(b)(7)

Transfers to a Related Party

Limited 5

61 Pa. Code 31.47(5)

Special Use Tax Rules/Exemptions

 

 
  • Use Tax Exemption for aircraft temporarily in State

Yes 6, 7

61 Pa. Code 31.3(4); 61 Pa. Code 58.8(c)(3); 61 Pa. Code 31.3(19)
  • Use Tax Exemption for aircraft based upon days in State

Yes 8

61 Pa. Code 31.3(4)(i); 61 Pa. Code 31.7(d)(3); 61 Pa. Code 58.8(c)(3)(ii)
  • Use Tax Exemption (or presumption of no intention of taxable use) based upon number of days aircraft is kept outside a State before being brought in

Limited 9

61 Pa. Code 31.7(c)(1); 61 Pa. Code 58.8(c)(2) and (3)(iii)
  • Sales or use tax exemption for aircraft undergoing (or that underwent) pre-purchase inspection.

No

N/A
  • Interstate Operations

No

61 Pa. Code 32.5(e)

Trade-In Credit

Yes 10

61 Pa. Code 31.44(a)

Lease Payments (lease with crew)

No

61 Pa. Code 31.4(a)(1); 61 Pa. Code 31.6(a)(6)

Lease Payments (lease without crew)

Yes

61 Pa. Code 31.4(a); 61 Pa. Code 32.3.(a)(1)(i).

Repair Parts

Yes

Tax Reform Code of 1971, Section 204 (67 and 69)

Repair Labor

Yes

Tax Reform Code of 1971, Section 204 (67 and 69)

Fabrication Parts and Labor

Limited

Tax Reform Code of 1971, Section 204(67 and 69)

 

FUEL TAXES

Jet Fuel

Aviation Gasoline Tax

  • Excise Tax: .055/gal

  • Sales Tax: N/A

  • Exemptions/Refunds: N/A

References: 74 Pa C.S. §6121(b); Fuels Tax Rates

AIRCRAFT REGISTRATION FEES

  • No aircraft registration fees in Pennsylvania

PERSONAL PROPERTY TAX

  • No personal property tax in Pennsylvania

Notes

1 1% local tax is added to purchases made in Allegheny County, and 2% local tax is added to purchases made in Philadelphia.

2 No sales tax will apply if the property is sold, leased or serviced within Pennsylvania and the vendor, lessor or serviceperson is obligated to deliver it to a point outside of Pennsylvania

3 A Purchaser must establish that property is to be resold - Any use or consumption or disposition in a manner other than by resale will give rise to tax.

4 While providing that the purchase or use by a common carrier  of property or services performed thereon to be predominantly used directly in delivering or rendering of a public utility is exempt from tax – the definition of common carrier - public utility excludes an independent contractor who reserves the right to refuse to serve any person at his discretion and the right and power to fix his rates or charges by individual contract with the person with whom he contracts. 

5 Transfer between the parent corporation and wholly owned subsidiary is a taxable transfer unless such transfer is the result of a corporate merger or consolidation under the Business Corporation Law (15 Pa C.S. §§1001-2914).

6 Limited to tangible personal property used but not consumed in Pennsylvania if purchased outside of Pennsylvania and brought into Pennsylvania for a period by a nonresident vacationer or tourist.

7 Limited to the property upon which work or services are performed for the sole purpose of transporting the property in interstate commerce to a destination outside of Pennsylvania for exclusive use outside of Pennsylvania.

8 Limited to tangible personal property used but not consumed in Pennsylvania if purchased outside of Pennsylvania and brought into Pennsylvania by a nonresident for temporary use not to exceed 7 days.

9 If the purchase out of State is made 6 months or longer prior to first taxable use in Pennsylvania, then can base tax on the fair market value of the property at the time of its first use in Pennsylvania rather than on its original purchase price.  Must file Form PA-3 within 1 year from the date the return for the taxable use is due.

10 Trade-in must occur at the same time as the sale.

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